Seoul stocks end down 0.01 pct in volatile session

SEOUL, July 9 (Yonhap) -- South Korean shares closed 0.01 percent lower Thursday
after a volatile session as institutional investors sold shares for the third
day. The local currency inched down against the U.S. dollar.
The benchmark Korea Composite Stock Price Index (KOSPI) fell 0.13 points to
1,430.89. Volume was moderate at 426.8 million shares worth 5.55 trillion won
(US$4.34 billion), with gainers outpacing losers 401 to 386.
"In early trading, the key index hit a yearly high of 1440.40 on the news of an
interest rate freeze," said Sung Jin-kyung, an analyst at Daeshin Securities.
"However, later sell-offs by institutions drove the index lower."
Earlier in the day, the Bank of Korea froze its key interest rate for the fifth
straight month, saying that the local economy has emerged from a downturn amid
easing inflationary pressure.
Institutional investors reduced holdings of local stocks for a third session as
they scrambled to lock in profits due to increasing demand for fund redemption.
Most shares ended lower, with tech bellwether Samsung Electronics falling 0.76
percent to 650,000 won after three days of gains. Its domestic rival LG
Electronics shed 1.14 percent to 130,000 won.
South Korea's top automaker Hyundai Motor dropped 1.28 percent to 77,200 won on
worries about its future exports amid lingering jitters over a global economic
recovery.
The local currency ended at 1,279 won against the dollar, down 2.9 won from
Wednesday's close, as exporters sold the Korean currency, dealers said.
ygkim@yna.co.kr
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